Raymond Lifestyle plans to expand its presence in Europe, targeting up to 25% of exports from the region as India’s trade deals with the UK and EU open new apparel markets and Indian exporters reduce their dependence on the US
Raymond Lifestyle is stepping up its expansion in Europe as India’s recent trade agreements with the UK and the European Union open new opportunities for apparel exporters and encourage Indian companies to reduce their dependence on the US market.
The Indian apparel maker expects Europe to account for around a quarter of its exports within the next two years, Chief Executive Officer Satyaki Ghosh told Reuters. The company is also looking to expand its customer base across the region as shifting US trade policies reshape the global apparel market.
The US has traditionally been Raymond Lifestyle’s largest export market. Before US President Donald Trump’s tariffs, the country accounted for about 65 per cent of the company’s total exports, while Europe contributed around 17 per cent.
Ghosh expects the US share to fall to between 55 per cent and 60 per cent over the next two years, while Europe’s contribution could rise to 20-25 per cent.
India’s trade deals open European opportunities
The shift comes as Indian garment exporters reassess their exposure to the US following tariff-related disruptions and look to benefit from improved market access in Europe and the UK.
India’s trade pact with Britain took effect in July, reducing tariffs on a wide range of goods and services and improving market access for Indian exporters. India and the European Union have also been working towards a free trade agreement, with the deal expected to be formally signed by the end of 2026.
More from BusinessFor Raymond Lifestyle, the agreements could provide an additional boost to demand in markets where the company is already seeing increased interest.
“Europe will grow faster for us,” Ghosh told Reuters, pointing to new customer discussions and the potential boost from India’s trade agreements.
The company has reported double-digit growth in inquiries from European customers following announcements around the trade deals. About 30 per cent of those inquiries have converted into orders, with particularly strong traction from the UK.
Raymond Lifestyle has also added new customers in Poland, Germany and France, according to Ghosh.
US remains important but Europe is gaining ground
The US remains India’s largest market for textile and apparel exports, accounting for slightly more than a quarter of the country’s total exports in the sector.
However, the trade environment has become more uncertain following the introduction of US tariffs under the Trump administration. That has prompted Indian apparel companies to look for alternative markets and reduce their reliance on a single destination.
Raymond Lifestyle’s strategy reflects that broader shift.
Exports accounted for about a fifth of Raymond Lifestyle’s revenue in the financial year 2026. The company owns brands including Park Avenue and ColorPlus and supplies international customers such as JCPenney and Charles Tyrwhitt.
India’s apparel exports to major European markets have already shown signs of resilience.
Government data showed that India’s textile and apparel exports to European countries among its 10 largest markets increased 9 per cent to Rs 69,445 crore in 2025-26. That was the first financial year after Trump’s announcement of reciprocal tariffs.
By comparison, India’s textile and apparel exports to the US declined 7 per cent during the period.
The divergence highlights the growing importance of Europe for Indian exporters as companies seek to diversify their markets.
Raymond expands production capacity
Raymond Lifestyle is also increasing production capacity to meet potential growth in European orders.
The company is stepping up production at its plant in Ethiopia, while its facility in Andhra Pradesh is expected to more than triple its production lines to 10 over the next two years.
The expansion comes as Raymond Lifestyle seeks to convert rising European inquiries into a larger and more sustained export business.
For India’s apparel industry, the opportunity extends beyond Raymond Lifestyle. Greater access to European markets through trade agreements could help exporters offset weaker demand or higher trade barriers in the US.
If European orders continue to rise, the region could become a more important destination for Indian apparel exports while reducing the industry’s dependence on the US market.
